TC leaders fire city manager

Apr. 4—TRAVERSE CITY — The night when Traverse City commissioners agreed to cut ties with their city manager Marty Colburn felt more like a farewell at times than a firing.

Commissioners unanimously voted Monday to approve a separation agreement with Colburn, effective midnight that day. They agreed to pay him nearly $100,000 as per his contract for six months' salary plus his accrued paid time off.

While a few commissioners expressed misgivings about being in the situation in the first place — especially given the lack of transparency as to why — they and several audience members told Colburn of their appreciation for his service to the city.

Gary Howe, a former commissioner at the time of Colburn's hiring, praised him as a steady leader at a chaotic time.

"And in that eight years, just look at the bridges, we've got five downtown, two in the Brown Bridge Quiet Area, an amazing bridge on Boardman Lake, and there might be another I'm missing," he said.

That's just the real bridges, Howe added, noting Colburn built several metaphorical links throughout the region. Penny Hill, the assistant city manager, reiterated this and called it the most important thing a city manager could do.

Colburn met with several supporters afterward, exchanging handshakes and hugs.

Several commissioners also said they believed they had passed the point of no return and that approving the separation agreement was the situation they found themselves in — Commissioner Tim Werner said he would vote against the agreement but for the fact that even if commissioners asked Colburn to stay, he would no longer be able to effectively do his job.

"I would've much preferred a smooth transition process and used the annual review process, that would've been best for Traverse City and its citizens," Werner said. "I still don't understand the urgency of parting ways but I fully support the compensation package."

That cost — $97,038.49, according to the agreement — could be just the start, since Colburn's separation comes as the city looks to hire a new police chief, treasurer and finance director and possibly city engineer, Werner said. He didn't want an interim city manager making those hires, so it's possible city leaders could have to place temporary fill-ins in three high-level positions.

Commissioner Mitch Treadwell previously said he understood there were differences in management style, and Colburn's comment after the decision hinted in that direction.

City leaders have a right to consider their perspective of how a city manager serves and what they do, and might desire a change in that from time to time.

"There's always a need for perspective and that the city commission certainly has a right for in terms of a working relationship, a management perspective, that if they would like a change they have that privilege to do so," he said.

While Mayor Richard Lewis declined to say afterward what led to the separation, he told commissioners and the audience what did not. There were no "immoral, unethical or illegal activities" by Colburn, either as city manager or private citizen, that led to the separation.

"This is a separation agreement which has been mutually agreed upon," he said.

Commissioners released a previously attorney-client privileged memo they discussed at a meeting where Lewis said they also considered finding an interim city manager should they approve a separation agreement.

The memo by city Attorney Lauren Trible-Laucht states that Colburn is an at-will employee, meaning they can sever their employment agreement with him at any time and for any reason, or none, and lays out the options for ending his employment, but gave no hint as to why.

Commissioner Linda Koebert said she wrestled with the decision but decided to vote "yes" out of respect for Colburn.

"I think mistakes were made, certainly, and we need to promise the community that we will work with more transparency moving forward so that we never find ourselves in this situation again," she said.

Treadwell said he was frustrated that various legal obligations like attorney-client privilege and others that left everyone without a "complete picture" of what led to the situation.

City resident Mary Orth thanked Colburn Monday night, then apologized that he had to go through, noting many were wondering what happened.

Pam Wakefield, another city resident, sported a sign on her walker telling commissioners to keep Colburn and chastised them for letting him go the way they did.

"I think the commission has made an egregious error in the way they handled this situation," she said. "I cannot believe you people would sit here and say you made a mistake and then do nothing to correct it."

At the memo's end, Trible-Laucht reminded commissioners they would need to place someone qualified to fill the role if Colburn's employment is terminated.

That'll be Hill for now, and commissioners asked her to compile a list of potential candidates for a longer-term sit-in. Werner initiated the request, citing an "optics" issue with Lewis undertaking the task.

City Clerk Benjamin Marentette previously said he's willing to serve in an interim role, and Lewis said he had told himself and Shamroe that he intended to apply for the position as well.

Marentette sought to quash speculation that there was "some sort of attempt" to give him the city manager's job. He denied knowing of any pending separation agreement until March 24, when he asked Lewis and Shamroe to meet to discuss his serving in the role.

"I just wanted to state very clearly that no member of the commission has ever alerted me to this pending separation agreement or had any level of conversation with me regarding it," he said.

Lewis said former manager Ben Bifoss previously said he would consider serving in an interim role but withdrew on Monday. That same day, former Petoskey City Manager George Korthauer offered to temporarily fill the role.

Colburn became city manager in mid-2015 after city leaders tabbed him to replace Jered Ottenwess, who resigned earlier that year after a drunken incident ended in criminal convictions.

The process for Colburn's annual review had already begun and was set to wrap in June, but his early departure means the usual sheaf of documents detailing commissioners' input on his job performance won't be completed this year.

Colburn's tenure is coming to a sudden end despite his telling commissioners in a March 19 email he wished to stay for a few more years while seeing several major projects through. He mentioned hearing of some deliberations ahead of the review and offered to discuss what might be prompting them.

That email came one day ahead of a closed session to discuss the just-unsealed memo that Lewis previously said he requested. Commissioners discussed the memo in a closed session.

Colburn said he found it heartwarming to hear all the support from audience members, including other staff. His proudest accomplishments were several major good works, and he repeated his thanks to everyone who contributed to keeping the city going.

"I thank this commission and all the commissions I've served in regards to the opportunities we had to work together and make some pretty cool things happen," he said.